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III. NATIONAL ACTIVITIES UNITED STATES definition, hot. Formation fluids are often highly corrosive and underpressured. These harsh conditions mean that many of the tools used in oil and gas drilling cannot be used in geothermal reservoirs. The requirement for geothermal wells to produce large volumes of fluid also means that they are larger in diameter than equivalent oil and gas wells of the same depth. All of these factors can drive the cost of typical geothermal wells much higher than oil and gas wells of comparable depth. 17.8.4 Power Systems and Energy Conversion Energy conversion represents those technologies used to convert the thermal energy in geothermal fluids into electrical power. Geothermal conversion technology is viable today, but offers significant opportunities for improvement. The surface plant represents a substantial portion of the total investment in a hydrothermal geothermal energy system; and any improvement in conversion efficiency, reduction in initial investment, or decrease in operating and maintenance costs can significantly enhance the competitiveness of geothermal energy relative to fossil energy. Geothermal energy conversion efficiency cascades into other parts of the investment, including drilling. Higher conversion efficiencies mean fewer wells have to be drilled, reducing investment. Improved efficiencies also mean that a given geothermal resource will have a longer useful life or, for a given lifespan, will produce a greater amount of energy. The goal of power systems and energy conversion research is to develop technologies that lower the cost of generating electricity from geothermal energy through increases in conversion efficiencies, reductions in initial power plant investments and the lowering of operating and maintenance costs. The program prioritizes technology development by targeting specific resource temperature ranges. The range of resource temperatures currently receiving the highest priority is between 130oC and 175oC. These resources are currently on the margin of what is economically feasible. As technology is developed that lowers the power plant costs, it will be possible to increase the viability of resources in this temperature range. This range also represents the lower temperatures that might be produced from EGS resources. Technology development will focus on the use of sensible heat rejection with the binary cycles (air-cooled condensers). Emphasis is being placed on the use of this type of heat rejection because: • Hydrothermal resources are typically found in the western U.S. where water may not available for make-up to evaporative heat rejection systems, and • Conversion systems for EGS will likely use air-cooled condensing in order to minimize water losses from the subsurface heat exchange loop. 17.8.5 Institutional Barriers DOE's GeoPowering the West program works with the U.S. geothermal industry, power companies, industrial and residential consumers, and Federal, state, and local officials to provide technical and institutional support and limited, cost-shared funding to state-level activities. By demonstrating the benefits of geothermal energy, GPW increases state and regional awareness of opportunities to enhance local economies and strengthen our nation's energy security while minimizing environmental impact. By identifying barriers to development and working with others to eliminate them, GPW helps a state or region create a regulatory and economic environment that is more favorable for geothermal and other renewable energy development. IEA Geothermal R&T Annual Report 2004.doc 134PDF Image | Geothermal Energy Annual Report 2004
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